1. What has
been your favourite part of the job so far?
part of the job so far has been my trip down to Australia, I was able to go
down for 16 days and learn how Australia was using Cedar and figure out how we
could benefit them. It was a business trip, but I took advantage of it
and explored and did as much as I could as Australia was always a bucket list
location for me.
2. Do you
sell your goods/products to Government Organizations?
Bakerview does not sell directly to the
government as a major distributor we sell primarily to smaller distributing
companies and remanufacturers that take our raw material and process it further
to a finished product. However sometimes these remanufacturing companies
sell their finished goods to the government such as treated timbers or fencing
for landscaping in parks.
What are the important types of issues for your business?
Quotas and Tariffs are a huge issue for us,
when the NAFTA Agreement expired softwood lumber was hit with a 21% tax on
shipments into the US which is our biggest export customer. Prior to the
duty US customers were more inclined to purchase extra material to fill out a
truck and they would put this excess material into inventory. Since the duty was introduced US customers
are less inclined to take excess material for inventory and their inquiries
have become much more job specific. While the US market continues to be
our main market we have worked on growing our business in other export markets
such as Australia, New Zealand & Europe.
4. Is your
business using social media as a tool for marketing?
We do not use social media platforms like
Facebook, Instagram or Twitter, because we do not sell to the general
public. Our sales staff research markets and when we find a business, we think
would be a good fit we make a cold call and market ourselves.
5. Which is
the main social responsibility issue for your business?
Being a lumber company, our main social
responsibility is to the environment which is why we participate and in
programs such as the FSC Program (Forest Stewardship Council) which is a
non-profit organization that promotes responsible forest management of the
6. Does your
business involve recycling?
business does not involve recycling, however there are some lumber companies
that use reclaimed wood (woods that have been previously used for other
purposes) and they repurpose it usually for usually used in furniture, building
7. How did
you start this business? (e.g. existing business, family business take over,
Glen Kump took over as owner of Bakerview in
2008 after buying out the original owner and founder Vern Friesen when he
decided it was time to retire.
23. How do you manage the risk of Intellectual Property?
don’t have any Intellectual Property, we use a L.I.S.A. program that is used
throughout the industry, and we don’t try to reinvent the wheel. We aren't
builders so we don’t try to come up with new building materials, we leave that
up to the architects.
24. Who is the target market for your products/services?
a wholesaler our target market is a customer that can take a significant
volume, these customers are usually large distributors and value-added
remanufacturers. By selling in volume it helps us keep a handle on our
volumes and our length spec as some lengths are more desirable than others
(these lengths are called prime lengths). If we sold all our prime
lengths it would make it very difficult to sell the rest of the volume that is
all less desirable lengths.
25. How do you manage promotions for your business?
we don’t sell to the general public we don’t have a lot of promotions, at the
end of every quarter however we evaluate our inventory levels and send out a
discounted offering list that includes any items that we may have excess volume
or single units of material that may not have fit onto a truck or container and
or little jags (less that full packages) that develop from the remanufacturing
26. What type of pricing strategy is usually used in your business?
(e.g. Price skimming, penetration etc)
use quite a few different pricing strategies’ depending on the customer and
market conditions at the time. For example, we have a shingle company on
the island that we have been supplying for over 20 years so Glen has an open
book relationship with them, they get our cost plus an 8% profit margin, we
have a few different customers like that. However, most of our pricing is
done competitively and it's up to us to know and understand our markets and
where our competitors pricing is at.
27. What type of goods and services does your business provide?
Forest Products offers a softwood lumber species called Western Red
Cedar. Western Red Cedar is known for its distinct appearance and strong
aroma (trust me there is no better smell than freshly cut cedar, but we may be
a bit biased.) it’s used mainly for outdoor applications like decking,
shingles, siding, fencing, posts and furniture.
It can even be used in framing for kayaks and small sailboats, I even
have one customer that uses it for guitars.
28. Is your business financed? If yes, how? (e.g. by bank, other
financial institution etc)
our business is financed by the bank.